Roku (NASDAQ:ROKU) Downgraded by Moffett Nathanson to Sell

Roku (NASDAQ:ROKU - Get Free Report) was downgraded by stock analysts at Moffett Nathanson from a "neutral" rating to a "sell" rating in a research report issued on Friday, MarketBeat.com reports. They presently have a $55.00 target price on the stock. Moffett Nathanson's price objective would indicate a potential downside of 30.55% from the stock's previous close.

ROKU has been the subject of a number of other reports. Needham & Company LLC reiterated a "buy" rating and set a $100.00 target price on shares of Roku in a report on Tuesday. Rosenblatt Securities increased their price objective on Roku from $61.00 to $86.00 and gave the stock a "neutral" rating in a report on Thursday, October 31st. Baird R W raised Roku from a "hold" rating to a "strong-buy" rating in a research note on Monday, November 18th. Macquarie reaffirmed an "outperform" rating and issued a $90.00 price target on shares of Roku in a research note on Thursday, October 31st. Finally, Wells Fargo & Company lifted their target price on shares of Roku from $72.00 to $74.00 and gave the company an "equal weight" rating in a research note on Thursday, October 31st. Three research analysts have rated the stock with a sell rating, eight have given a hold rating, twelve have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, Roku has an average rating of "Hold" and a consensus target price of $82.62.

Roku Stock Down 4.6 %

Shares of NASDAQ ROKU traded down $3.81 during midday trading on Friday, reaching $79.19. The company had a trading volume of 3,691,369 shares, compared to its average volume of 3,314,609. The stock has a market cap of $11.50 billion, a PE ratio of -65.99 and a beta of 2.05. Roku has a one year low of $48.33 and a one year high of $99.80. The firm's fifty day moving average price is $75.99 and its 200-day moving average price is $69.89.

Roku (NASDAQ:ROKU - Get Free Report) last released its quarterly earnings data on Wednesday, October 30th. The company reported ($0.06) earnings per share for the quarter, beating analysts' consensus estimates of ($0.35) by $0.29. Roku had a negative return on equity of 7.22% and a negative net margin of 4.42%. The firm had revenue of $1.06 billion during the quarter, compared to analyst estimates of $1.02 billion. During the same quarter in the prior year, the firm posted ($2.33) earnings per share. The business's quarterly revenue was up 16.5% compared to the same quarter last year. As a group, equities research analysts expect that Roku will post -1.1 EPS for the current year.

Insiders Place Their Bets

In related news, CEO Anthony J. Wood sold 25,000 shares of the company's stock in a transaction on Tuesday, December 10th. The stock was sold at an average price of $82.64, for a total transaction of $2,066,000.00. Following the completion of the sale, the chief executive officer now owns 26,538 shares in the company, valued at approximately $2,193,100.32. This represents a 48.51 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CFO Dan Jedda sold 1,000 shares of the stock in a transaction dated Monday, December 16th. The shares were sold at an average price of $82.73, for a total value of $82,730.00. Following the completion of the transaction, the chief financial officer now directly owns 64,555 shares in the company, valued at approximately $5,340,635.15. This represents a 1.53 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 48,095 shares of company stock valued at $3,731,038. Corporate insiders own 13.98% of the company's stock.

Hedge Funds Weigh In On Roku

Several institutional investors have recently made changes to their positions in ROKU. GS Investments Inc. increased its holdings in Roku by 33.4% during the third quarter. GS Investments Inc. now owns 587 shares of the company's stock valued at $44,000 after buying an additional 147 shares during the last quarter. PFG Investments LLC lifted its position in shares of Roku by 3.7% during the 3rd quarter. PFG Investments LLC now owns 4,157 shares of the company's stock valued at $310,000 after buying an additional 150 shares in the last quarter. True Vision MN LLC grew its stake in shares of Roku by 3.1% during the 3rd quarter. True Vision MN LLC now owns 5,018 shares of the company's stock valued at $375,000 after acquiring an additional 152 shares during the period. Sequoia Financial Advisors LLC increased its holdings in Roku by 4.5% in the 3rd quarter. Sequoia Financial Advisors LLC now owns 4,721 shares of the company's stock worth $352,000 after acquiring an additional 202 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC raised its stake in Roku by 11.2% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 2,207 shares of the company's stock worth $165,000 after acquiring an additional 222 shares during the period. Institutional investors own 86.30% of the company's stock.

Roku Company Profile

Roku, Inc, together with its subsidiaries, operates a TV streaming platform in the United states and internationally. The company operates in two segments, Platform and Devices. Its streaming platform allows users to find and access TV shows, movies, news, sports, and others. The Platform segment offers digital advertising, including direct and programmatic video advertising, media and entertainment promotional spending, and related services; and streaming services distribution, such as subscription and transaction revenue shares, and sale of premium subscriptions and branded app buttons on remote controls.